Philippine Asian News Today Vol 21 No 7 | Page 13

April 1 - 15, 2019 PHILIPPINE ASIAN NEWS TODAY BBB risk report Every year, Council of Better Business Bureaus, based in Arlington, Virginia, releases an annual Risk Re- port outlining the levels of risk for the most prevalent scams across North America. New numbers suggest that employment scams, which ranked number 4 on the 2018 National list of Top 10 Scams affecting Canadians, is actually the riskiest type of consumer fraud in all of North America. The Risk Report is based on data supplied by consumers that sub- mit their experiences to BBB Scam Tracker. In 2018, consumers reported a total of 50,559 scams to BBB Scam Tracker, moving up from 47,000 in 2017. The information was analyzed using the BBB Risk Index, a unique algorithm that calculates exposure, susceptibility, and monetary loss to offer a more accurate assessment of scam risk. The findings show signifi- cant changes from last year, including an increase in the number of employ- ment scams and that this scam also recorded the highest median mon- etary loss. “Since we began this report three years ago, this is the first time that one scam has dominated across so many demographic subgroups,” says Karla Davis, Manager for Community & Public Relations at BBB serving 13 The Riskiest Scam in all of North America - Employment Scams Mainland BC. “It was the riskiest scam in three of the six age groups, and for both men and women. It was also the riskiest scam for military families, vet- erans, and students.” Highlights from the Risk Report: • Consumer susceptibility, that is, the percentage of consumers who lost money when exposed to a scam, increased by 86.7 percent, with online purchase scams capturing the most victims. Online purchase scams made up 20.6% of all the scams reported to BBB Scam Tracker and posed the greatest level of exposure for con- sumers. Pets, automobiles, clothing, cosmetics and electronics were the top products reported for online pur- chase scams. • Scams occurring through websites and on social media plat- forms account for almost 50% of the instances that led to monetary loss, with 40% of victims using their credit cards. scams, which • Romance ranked number 1 on the list of top 10 scams affecting Canadians, is the riskiest scam for North Americans ages 55 - 64. • By gender, the top 3 riskiest scams for men are employment, trav- el/vacation and home improvement scams; while for women, it is employ- ment, online purchase and romance scams. • The riskiest scam for people in the Western and Northern parts of Canada was Emergency Scams, with a median loss of $175; while for peo- ple in the Northeast, it was Investment scams, with a median loss of $162. • Microsoft, Apple, Amazon, Canada Revenue Agency, Facebook and Better Business Bureau were some of the most impersonated or- ganizations. The top 10 riskiest scams in 2018 were: 1. Employment Scams (up from # 3 in 2017) 2. Online Purchase (down from # 1 in 2017) 3. Fake Cheques / Money Order (up from # 5 in 2017) 4. Home Improvement (up from # 6 in 2017) 5. Advance Fee Loans (down from # 4 in 2017) 6. Romance Scam (new to the risk list, coming from # 11 in 2017) 7. Tech Support (no change) 8. Investment (down from # 2 in 2017) 9. Travel / Vacation (down from # 8 in 2017) Government Grants 10. WWW.PHILIPPINEASIANNEWSTODAY.COM (no change) Regardless of the scam, scam- mers often rely on the following tac- tics: • The promise of getting a “great deal” (which is often too good to be true); • Pressure to respond immedi- ately with offers that are time sensitive and prices that “cannot be guaran- teed”; • Intimidation (for example, “You are under federal investigation” or “You will be arrested within one hour unless you call this number”); and • Isolation, which aims to force a decision without others’ opinions. Scammers can also be very elo- quent and personable, which can defy the “bad guy” stereotypes and increase the risk to potential targets. Scammers are clever and are always adjusting their tactics, so ev- eryone is vulnerable. While BBB Scam Tracker is helping us to identify higher risks and debunk long-stand- ing myths, we must not let down our guard. For more information on spe- cific scams and tips on how to avoid them, go to Scam Tips. To report a scam, go to BBB ScamTracker.